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Gamestop (GME) earnings Q1 2022


A GameStop location in Latest York, Dec. 23, 2021.

Scott Mlyn | CNBC

GameStop reported $1.38 billion in revenue in its fiscal first-quarter earnings report Wednesday, up barely from the $1.27 billion it reported within the year-ago quarter.

But, it also reported a $157.9 million net loss, which is worse than the $66 million net loss within the year-ago quarter.

Shares fluctuated between barely positive and barely negative in after-hours trading.

Listed below are the important thing numbers:

  • Loss per share: $2.08, not comparable to estimates
  • Revenue: $1.38 billion

GameStop generated $673.8 million in sales of hardware like game consoles and accessories, which amounted to 48.9% of all sales. That was down from $703.5 million within the year-ago quarter. It made $483.7 million on software, up from $397.9 million within the year-ago quarter, and $220.9 million on collectibles, up from $175.4 million in Q1 2021.

The corporate’s strength in collectibles this quarter in comparison with the previous 12 months’s quarter may indicate why it’s leaning into non-fungible tokens (NFTs), which have turn into a recent variety of digital souvenir that users can collect and resell. NFTs are digital items or artwork which are tied to the blockchain so the unique version could be authenticated.

The corporate has said it plans to launch an NFT marketplace by the tip of the present quarter and it reiterated in Wednesday’s release its expected timeline. GameStop said it’s taken steps to support the recent launch of a digital asset wallet that can allow users to send a receive the tokens.

Read more about tech and crypto from CNBC Pro

The corporate has not provided a financial outlook because the start of the pandemic. CEO Matt Furlong said in March that GameStop doesn’t “feel it’s prudent to supply guidance in the course of the early stages of our transformation and with the present global backdrop.”

On the corporate’s earnings call Wednesday, Furlong still didn’t provide guidance and didn’t take analyst questions. He said the corporate continues to give attention to embracing change and “long-term stockholder value” through investing in commerce and in search of growth opportunities in NFTs and other emerging technologies.

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